Novartis has agreed to acquire Avidity Biosciences, a San Diego-based biopharmaceutical company developing therapies for rare neuromuscular genetic disorders, in a deal valued at approximately $12bn.
Avidity is pioneering a new class of RNA therapeutics known as antibody oligonucleotide conjugates (AOCs). These therapies combine the tissue specificity and precision of monoclonal antibodies with the gene-targeting capabilities of oligonucleotides to address the underlying causes of disease and enhance treatment efficacy.
The acquisition will expand Novartis’ neuroscience pipeline with several first-in-class, late-stage, disease-modifying therapies, including candidates for myotonic dystrophy type 1 (DM1), facioscapulohumeral muscular dystrophy (FSHD), and Duchenne muscular dystrophy (DMD). All three are severe, progressive neuromuscular disorders with limited or no disease-modifying treatment options.
“Avidity’s pioneering AOC platform for RNA therapeutics and its late-stage assets bolster our commitment to delivering innovative, targeted and potentially first-in-class medicines to treat devastating, progressive neuromuscular diseases,” said Vas Narasimhan, CEO of Novartis. “The Avidity team has built robust programmes with industry-leading delivery of RNA therapeutics to muscle tissue. We look forward to developing these programmes to meaningfully change the trajectory of diseases for patients.”
The transaction, which will be executed through a merger with a newly formed, indirect, wholly-owned subsidiary of Novartis, is expected to close in the first half of 2026, pending customary regulatory approvals.
As part of the agreement, Avidity’s early-stage precision cardiology programmes will be transferred to SpinCo, a wholly owned subsidiary of Avidity. The successful spin-off or sale of SpinCo will be a condition for closing the acquisition, the companies reported.